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The amounts you spent to construct the house would be added together with the cost to form your basis.
These costs are called the basis of the property and can be deducted when the home is sold. The costs that must be included in the basis of the home are:
The costs to build are all added for the basis and this would reduce the gain.
The amount it cost you to complete the house, including:
1. The cost of labor and materials, 2. Any amounts paid to a contractor, 3. Any architect's fees,
4. Building permit charges, 5. Utility meter and connection charges, 6. Legal fees directly connected with building the house
Please advise if you need more information or rate positively.
Some of those costs are allowed.
The design fees and permit costs.
The utility bills would be but only for business.If this was a home specifically built to sell then yes, those costs are included.
Taxes are allowed but it depends which taxes. If real estate taxes they are claimed on Schedule A or the if business on the business return.
That is correct , the costs are added to basis when sold. This is true even if over 2 years
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